Apple threatens India to cut iPhone production due to authorities' desire to harmonise charging connector
Apple, which is actively shifting capacity from China to India, has already started threatening a possible reduction in iPhone production. The reason is the desire of the Indian authorities to unify the charging port.
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The European Union has introduced a norm that prescribes to equip all smartphones with a USB-C charging connector. The authorities of the block believe that such a decision will allow the residents of Europe to save more than $270 million. India is ready to adopt a similar norm, but for a different reason.
If the EU explains its decision by economy, India argues the unification of the charging port by the need to reduce electronic waste and increase the level of comfort for smartphone owners. Apple wants to either get an exemption for its products or get a delay. Otherwise, smartphone production will be reduced.
The share of Indian-made iPhones will reach 12-14 per cent in 2023 and roughly double to 25 per cent a year later. The company produces smartphones iPhone 12, iPhone 13, iPhone 14 and iPhone 15 in India. The first three series are equipped with Lightning connector.
If India adopts the new norm, it will come into effect by mid-2025. Apple will be able to meet the deadline if the authorities make an exception for existing smartphones. Otherwise, it will take a year longer for the changes to take effect. The European rules will start to take effect from December next year.
Source: Reuters